- Perform due diligence on the investment and person or entity offering the investment scheme are registered with one or more securities regulators. To find the contact information for your securities regulator visit NASAA’s online directory (https://www.nasaa.org/contact-your-regulator/).NASAA said. “Fraudsters may try to leverage shared interests, ideas, and goals to build trust and convince investors to invest in phony investment schemes,” the advisory warned.
- Steer clear of metaverse crypto or NFT investment offers and avoid taking investment advice in the metaverse, since it is wholly unregulated, NASAA said.
Investors should also be wary of slick, enticing campaigns and news articles, since scam artists can write fake posts and articles and attribute them to any celebrity and athlete they choose.
In addition, security lapses on some developing platforms and the ability to build fake metaverse experiences can lead to hacked personal information, fraud or the theft of users’ funds, state securities regulators warned.
“Investors should know that the rules that apply to investments in the physical world also apply to investments in virtual worlds. When considering any investment, you should watch for signs of fraud, and objectively consider all the information available to you before purchasing it,” NASAA said.